| Finance costs and finance income |
28.Finance costs and finance income | (a) | This caption is made up as follows: |
| | | | | | | | | 2025 | | 2024 | | 2023 | | | US$(000) | | US$(000) | | US$(000) | | | | | | | | Finance income: | | | | | | | Interest on tax claims, note 30 | | 16,580 | | 263 | | — | Interest of the liability related to the tax claim, note 7 (c.2), note 30(d) | | 11,906 | | — | | — | Interest on time deposits | | 18,867 | | 9,998 | | 7,795 | Finance update of other account receivable | | 623 | | 599 | | 269 | Interests on third party loans | | 7 | | 662 | | 800 | Interest on loans to related parties, note 31(a) | | 7 | | 21 | | 23 | Other finance income | | 356 | | 985 | | 170 | Total finance income | | 48,346 | | 12,528 | | 9,057 | | | | | | | | | | 2025 | | 2024 | | 2023 | | | US$(000) | | US$(000) | | US$(000) | | | | | | | | Finance costs: | | | | | | | Interest related to senior notes | | 46,937 | | 30,250 | | 30,250 | Fair value variation of the financial liability of the contingent consideration liability (c) | | 11,076 | | 6,657 | | 4,709 | Accretion expense for mine closure and exploration projects, note 14(b) | | 10,851 | | 8,081 | | 11,838 | Interest on borrowings and loans | | 3,494 | | 7,276 | | 9,044 | Derecognition of issuance cost of bond Senior Notes 5.50%, note 15(c) | | 3,289 | | — | | — | Bonds non-domiciled interest | | 2,311 | | 1,902 | | — | Accrual of costs for bond issuance, note 15(g) | | 2,062 | | 2,122 | | 2,082 | Interest related to payments to the tax administration, note 30(d) | | 1,694 | | 3,003 | | - | Accretion expense for leases related to right-in-use assets, note 15(g) | | 667 | | 623 | | 266 | Structuring costs related to credit lines | | 175 | | 2,062 | | — | Interest related to the liability resulting from the tax claim of the years 2009-2010 | | — | | — | | 58,454 | Amortized cost of financial obligations, note 15(g) | | — | | 700 | | 155 | Update of the present value of accounts receivable from Howden Holdco Perú | | — | | — | | 1,956 | Other financial costs | | 4,573 | | 2,721 | | 500 | | | 87,129 | | 65,397 | | 119,254 |
| (b) | Financial liabilitiy from contingent consideration - |
On August 18, 2014, Buenaventura acquired from Minera Gold Fields Peru S.A. (hereinafter “Gold Fields”) 51% of the voting shares of Canteras del Hallazgo S.A.C., which represented the whole interest of Gold Fields in the equity of such entity. Subsequently, during the same year, as a result of the merger with Canteras del Hallazgo S.A.C., Buenaventura acquired ownership of the Chucapaca mining project (currently the San Gabriel Project). The purchase and sale agreement of Gold Field’s shares in Canteras del Hallazgo S.A.C. considered a contingent consideration equivalent to 1.5% over the future sales of the minerals arising from the mining properties acquired. The Group has the right in the preferred acquisition right over this royalty in case Gold Fields decides to sell it. These future payments represent a contingent consideration, whose fair value was determined using the income approach, considering the present value of the future payments. The changes in the fair value of this liability are recognized as income or loss in the consolidated statement of profit or loss. On February 18, 2026, Gold Fields announced the sale of these royalties to OR Royalties Inc. As of December 31, 2025 and 2024, it is highly probable that the Group reaches the projected future sales. The fair value of the contingent consideration determined as of December 31, 2025 and 2024 reflects this assumption. | (c) | A reconciliation of fair value measurement of the contingent consideration liability is provided below: |
| | | | | | | | | 2025 | | 2024 | | 2023 | | | US$(000) | | US$(000) | | US$(000) | | | | | | | | Beginning balance | | 28,271 | | 21,614 | | 16,905 | | | | | | | | Changes in the fair value through profit or loss | | 11,076 | | 6,657 | | 4,709 | Ending balance | | 39,347 | | 28,271 | | 21,614 |
Significant unobservable valuation inputs are provided below: | | | | | | | 2025 | | 2024 | | | | | | Annual average of future sales of mineral (US$000) | | 400,476 | | 275,865 | Useful life of mining properties | | 15 | | 14 | Pre-tax discount rate (%) | | 12.41 | | 12.73 |
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